Updates About Jobs

Governor Whitmer touted Michigan’s strong job growth with the addition of 27,000 jobs in Fiscal Year 2024, signaling ongoing economic expansion. The construction sector reached a two-decade high, employing over 200,000 people, while Michigan’s labor participation rate rose above 62%—its best level since 2009. Key data from the Department of Technology, Management and Budget (DTMB) shows Michigan’s unemployment rate at 4.5%, with average manufacturing wages up 5% year-over-year, outpacing inflation.

The Governor has pursued several initiatives to fuel this growth, including $21.3 billion in clean energy and battery projects, a $500 million Make it in Michigan Fund, and a new Innovation Fund to foster local businesses. These efforts have contributed to Michigan’s leadership in the auto and clean energy sectors, record construction employment, and rapid small business growth, making the state a top performer in job creation and business climate.

The Michigan Supreme Court issued an order clarifying the implementation of the state’s minimum wage increase plan, confirming that the Department of Labor and Economic Opportunity and the Department of Treasury’s calculations were accurate. The court ruled that inflation adjustments should be calculated starting from January 1, 2019, through July 31, 2024, resulting in a gradual increase in the minimum wage to $12.48 in 2025 and up to $14.97 by 2028.

The court also addressed a missed phase-in percentage for tipped wages, clarifying that tipped workers’ wages would reach 100% of the regular minimum wage by 2030, correcting their initial projection of 2029. Justice Elizabeth Welch provided a concurring opinion, while Justices Brian Zahra and David Viviano dissented. Treasury must submit the finalized wage figures by November 1, 2024.

Governor Gretchen Whitmer announced ambitious housing and energy initiatives at the Mackinac Policy Conference this year, increasing Michigan’s five-year housing production goal by 53% and securing federal funds to lower energy costs for 28,000 low-income households. The initiatives are part of the MI Healthy Climate Plan that aims to build 115,000 housing units and incorporate measures to drive energy efficiency, with the ultimate goals of making housing and utilities more affordable for Michiganders.

The Michigan State Housing Development Authority (MSHDA) has already invested $1.23 billion to build and restore homes, creating 20,000 new jobs. The Governor also proclaimed that the state has received $367 million in federal funding to support the Michigan Solar for All initiative and the Home Energy Rebate programs. The Michigan Department of Environment, Great Lakes, and Energy (EGLE) will head the project to cut utility costs, install solar equipment on roofs, and decrease the costs of energy-efficient appliances. Together, these programs aim to reduce energy costs and promote renewable energy for low-income Michigan homes.